In the past, much of the focus of PPPs has been on procurement rather than on preparation and strategic planning, and there is a wealth of literature on tendering processes and procedures.6 Once strategic decisions have been made, it is vital that the municipality has the knowledge and ability necessary to tender, evaluate and procure the contract. The quality of preparation for tendering sets the scene for the quality of the tenders. The tendering process not only formally sets out the objectives, parameters and scope of the partnership, but also sets the agenda for the process. A corrupt or unprofessional tendering process is unlikely to result in a transparent and accountable partnership.
Skills for tendering are not new in municipalities accustomed to the construction of large-scale urban infrastructure. Yet in many situations, cost-effective procurement has been thwarted by well-established informal practices that largely determine the price and the winner. Replacing corrupt practices with transparent and accountable procedures is an extraordinary challenge. Champions of change often run into resistance over the partnership approach, not because of the private sector involvement but because it threatens pre-established systems of informal payments.
Of course, where long-term partnerships are envisaged, most municipalities recognise that they do not have the skills to carry out all the parts of the procurement process. But it is necessary for someone in-house to be able to supervise the tendering process (be it the chief engineer, another operational manager, the town clerk or a second-in-command). In Gweru, for instance, the municipality had the support of a PPP specialist who advised them on issues such as transparency and evaluation (see Box 11.3). The key to absorbing such specialist expertise lies in understanding that there is a skill gap within the municipality, and in funding, selecting and effectively briefing the advisor.
Important skills sets relating to the knowledge of the process and clarity in bidding documents include the ability to:
• identify what information is required and to undertake feasibility studies;
• carry out or identify gaps in expertise within the municipality in relation to the tender procedures; and
• ensure that some of the traditional norms of procurement do not creep into the tendering, evaluation and procurement process.